China on 9 December 2016 launched a new cargo service connecting Tibet and Nepal. On the occasion of the launch, dozens of trucks carrying goods worth 2.8 million dollars left the Tibetan border port of Gyirong en route to Kathmandu.
The trucks are responsible for the remaining 870 kilometre of the journey, carrying goods to Gyirong and then to the final stop in Kathmandu, Nepal's capital.
Besides, a train carrying several products like clothes, shoes, furniture, hats, appliances, electronics’ and building materials travelled the 5200-kilometer distance between Guangzhou, the capital of Guangdong Province, and Xigaze in Tibet.
The new rail and road cargo service that connects Guangdong, Tibet and Nepal, was launched with the objective to enhance trade with the South Asian neighbour in line with China's Belt and Road (Silk Road) initiative.
This was the first consignment that was sent to Nepal by China after the Prachanda government took over the charge from former Prime Minister KP Sharma Oli. The transit trade deal was signed between Nepal and China in March 2016 during Oli’s tenure as Prime Minister of Nepal. The deal was signed to end India’s hegemony in regard to Nepal’s dependence on trade.
During the signing ceremony of the agreement, China agreed to Oli’s request of building a strategic railway link between the two nations from Gyirong and Nepal. Gyirong is the last Tibetan county, which chares its border with Nepal.